Ramadoss seeks probe into buying electricity from private firms

Chennai: Alleging that Tamil Nadu government was purchasing power from private companies for exorbitant rates despite other available options, PMK founder S Ramadoss on Monday sought an inquiry into the process.

Citing media reports claiming that the state government was going to purchase electricity to the tune of Rs 27,147 crore, he said it has decided to purchase electricity upto 79 crore units from four private companies at Rs 15.14 per unit.

"By this, a visible loss of Rs 800 crore would be suffered. What is the necessity to purchase electricity at exorbitant rates from these private companies? An inquiry must be held to find out who are the beneficiaries behind this purchase," Ramadoss said in a statement.

While power produced by central organisations stood at Rs three per unit and between Rs 4.26 to Rs 5.14 per unit from other private companies, what was the necessity to purchase power from certain private companies at this rate, he asked.

He also said tariff of electricity produced by TNEB, Neyveli Lignite Corporation and Kudankulam Nuclear Power Plant were below Rs three and Rs two respectively.

While the Electricity Board of the state government suffered an annual loss of Rs 9,000 to Rs 12,000 crore, what was the need to end up in further loss, he said, adding, the state government must work towards creating a state without power cuts.